The price of a cell phone is ₹20,000. On Sundays, the shopkeeper offers a cash discount of ₹1,000 on the purchase of the cell phone. Further, if someone purchases it through a credit card, he gives 5% additional discount. If someone is purchasing the cell phone on a Sunday through a credit card, then how much does he/she have to pay?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. ₹18,050
According to the question,
Price of Phone on sunday = Actual Price - Sunday discount = 20000 - 1000 = 19000
Price of Phone on sunday with credit card
⇒ Price (1 - Discount%)
⇒ 19000 (1 - 0.05)
⇒ 19000 × 0.95 = Rs. 18050